You own some equipment that you purchased four years ago at


You own some equipment that you purchased four years ago at a cost of $287,000. The equipment is five-year property for MACRS. The MACRS rates are .2, .32, .192, .1152, .1152, .0576, for years 1 to 6, respectively. You are considering selling the equipment today for $99,000. Which one of the following statements is correct if your tax rate is 35 percent?

The tax due on the sale is $17,357.76.

The book value today is $49,406.40.

The accumulated depreciation to date is $270,468.80.

The taxable amount on the sale is $49,593.60.

The aftertax salvage value is $81,707.76.

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Financial Management: You own some equipment that you purchased four years ago at
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